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Sheppard West station (then named Downsview) was opened in 1996 as a one-stop "Spadina line" (as the northern section of the University branch of Line 1 was then called) extension north from Wilson station. The reason for such a short extension was that the provincial government was offering funds for subway expansion as part of the Network 2011 plan, but was debating whether the extension should form a link between the Spadina line and a future phase of the proposed Sheppard Line (which was only approved with a western terminus at the-then Sheppard station on the Yonge line),[4] or continue further north, either to York University or as part of a loop to join the Spadina and Yonge line branches along the hydro corridor north of Finch Avenue.[5] As an eventual Spadina line extension was later contemplated in any case, the short extension was built with the station constructed on a north–south alignment which favoured a further northward extension.[6]

Downsview was the northwestern terminus of the Yonge–University line for nearly twenty-two years and a major hub for TTC and Viva bus service, but with the extension to Vaughan Metropolitan Centre in 2017, it was renamed Sheppard West and became a through station, with a number of bus routes rerouted to terminate at stations further north.[7]

Construction of an access track to Wilson Yard branching off the mainline south of station began in 2009 but was mothballed after a tunnel was completed in 2010. Track was not laid and the tunnel was sealed off with hoarding.[8] However, the tunnel was opened in 2018, after completion of an ongoing expansion project to expand the Wilson Yard.[9]

The name of the station was officially changed from Downsview to Sheppard West on May 7, 2017, in anticipation of the opening of the TYSSE to Vaughan Metropolitan Centre, to avoid naming conflicts with the new Downsview Park station.[10][11][12] The new name was proposed in 2010 and was approved on September 28, 2012.[11][13]

The name change cost $800,000, most of which was to cover the cost to reconfigure the Toronto Rocket subway train fleet's automated next station announcement system along with its destination signs, which included this station's renaming and six new stations for the extension. $150,000 was to update signs and maps on TTC vehicles and properties.[14]

When it was named Downsview, the station was the only one in the subway system where the station name was displayed using mixed-case lettering on the platform walls. However, the new Sheppard West name is rendered in all-caps lettering using the traditional Toronto Subway typeface on placards placed on top of the former name. A smaller type appears underneath the new station name, which reads "formerly Downsview", to ease with the transition.

Originally, Downsview Park station was to be called Sheppard West and it carried this name while under construction. This TYSSE station was located close to the entrance to Downsview Park. On the other hand, the existing Downsview station was better identified as being on Sheppard Avenue and was further away from the entrance to the park. Thus, the TTC proposed partially swapping the names of the two stations to avoid confusion, with the new station being designated "Downsview Park" and the former Downsview station being renamed "Sheppard West".[10]

The original station name of "Downsview" was chosen because the TTC felt at the time that a more neutral name was needed in case the station became an eventual interchange with the then-proposed Sheppard Line, which was originally intended to run west of Yonge to connect with the western University–Spadina branch of Line 1 at this station. "Downsview" was chosen as a result of a public naming contest.[15]

The former station name, "Downsview", in unique mixed-case lettering on the platform

Present station name on platform wall in all-caps lettering, with temporary "Formerly Downsview" subtitle

From the station's opening in 1996 until 2017, the station had a fare collector booth where passengers could purchase TTC fare media such as tickets, tokens, and Metropasses. Due to the system-wide introduction of the Presto card, the TTC replaced the fare booth collector with roaming customer service agents on December 17, 2017, concurrent with the Line 1 subway extension to Vaughan Metropolitan Centre. While riders are no longer able to purchase traditional fare media at this station, such media is accepted for payment.[16]

The station was designed by Adamson Associates Architects (above grade buildings and mezzanine) and The Stevens Group Architects (below grade).[17] The subway platform lacks pillars and the ceiling is high and curved, evoking an aircraft hangar. High ceilings, skylights and an exceptionally large mezzanine make the station feel open and airy. Natural light reaches all areas of the station including the subway platform.

Sliding Pi is a large scale wall mosaic by Calgary artist Arlene Stamp. It can be viewed when travelling between the bus platform and the mezzanine level. The work shows colourful overlapping rectangles with the amount of overlap mathematically determined by the digits in the number pi. The overlapping pattern is non-repeating and gives the impression to viewers that the rectangles are sliding to one side.

Boney Bus, created by John McKinnon in 2000, is located in front of the station and consists of an abstract bus shape made from aluminum beams with basalt "wheels".

The subway platform is located underground east of Allen Road. There is a complex crossover just south of the station, which incorporates a switch to a single track which branches off to the west in a tunnel to access Wilson Yard. The line continues underground for 750 metres (2,460 ft) and crosses to the west side of the road; after exiting at the Clanton Park Portal, the line runs on the surface past Wilson Yard and passes the original north access track to it. South of this point, the line partially uses what were originally the non-revenue yard access tracks north of Wilson, the previous terminal station. North of the station, the line turns sharply northwest to cross under Allen Road again, then leaves Allen Road's alignment and heads via a compound curve toward Downsview Park station.

The original plans for Line 4 Sheppard called for it to terminate at (then) Downsview station and connect there with Line 1, but during construction in the late 1990s, the extension of Line 4 was halted after the first phase due to funding issues. Plans to extend Line 4 are currently inactive, but some local politicians (such as former Toronto mayor Rob Ford) have tried to revive the Line 4 expansion.[19][20]

^"Subway ridership, 2018"(PDF). Toronto Transit Commission. Retrieved February 5, 2019. This table shows the typical number of customer-trips made on each subway on an average weekday and the typical number of customers travelling to and from each station platform on an average weekday.